BREAKING NEWS
Italy's government has formally approved the partnership between Turkish defense industry leader Baykar and Italian state-controlled defense group Leonardo for unmanned aerial vehicle (UAV) production and development. Approved during a Cabinet meeting on Tuesday, the agreement was first announced in March 2025 and is structured as a 50-50 equal partnership. The joint venture targets the global UAV market, estimated at approximately $100 billion over the next decade, with the aim of strengthening Europe's independent capabilities in unmanned systems technology.
Leonardo is one of Italy's largest defense and aerospace corporations, with a comprehensive portfolio spanning radar systems, electronic warfare solutions, and naval platforms. In recent years, the company has expanded its capabilities through international partnerships to enhance Europe's strategic autonomy in defense technology. Baykar, meanwhile, is among Turkey's most advanced defense companies, having developed and produced globally recognized UAV platforms such as the Bayraktar TB2 and TB3. This partnership provides Leonardo access to cutting-edge UAV technology while enabling Baykar to operate in the European market and meet NATO standards.
The Italian government has applied "golden power" rules to the agreement, which allow governments to maintain oversight of mergers and acquisitions affecting strategic national interests. According to the approval conditions, sales of the UAVs and any future international development activities by the joint venture will be restricted to countries politically aligned with Europe and NATO. Additionally, all technology incorporated in the UAVs will be classified. These measures are designed to protect Europe's strategic autonomy and technological security.
Baykar acquired Italian aviation and defense company Piaggio Aerospace in late 2024, strengthening its industrial presence in Europe and expanding production capacity. The company manufactures both light and heavy UAVs while developing jet-engine-powered autonomous aircraft, with a strategic focus on autonomous air-to-air combat drones eventually replacing traditional fighter jets. Baykar has achieved significant global market prominence following the operational deployment of its UAVs in multiple conflict zones, including Ukraine and Azerbaijan.
This partnership represents a strategic achievement for Turkish defense industry. Baykar's 50-50 equal partnership with an established European defense corporation like Leonardo demonstrates the global recognition and credibility of Turkish UAV technology. Europe's pursuit of strategic independence in the UAV sector aims to create alternatives to American systems and ensure technological diversity within NATO. Baykar's acquisition of Piaggio Aerospace and now its partnership with Leonardo expand the company's industrial footprint across Europe. The 50-50 structure ensures equal decision-making authority for both partners. Italy's application of golden power rules, restricting sales to NATO-aligned nations, protects European strategic interests while establishing Turkish technology as a legitimate player in the global defense market.
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